[Czechia] Proposal to restore 3-day sick-pay waiting period

In Czechia, a proposal gaining support within the governing coalition could see workers receiving no pay for the first three days they are off sick, Expats.cz reports.

Aleš Juchelka, Labour and Social Affairs Minister, said he was open to restoring the country's former “karenční doba” three-day waiting period. The Motorists party intends to submit legislation to bring it back.

The move would reportedly reverse rules in place since July 2019, under which employees receive reduced wage compensation from their employer beginning with the first working day of an officially recognised illness.

If the former system is restored in its previous form, there will be significant implications for employees. Someone who falls ill and stays home for three days could receive no pay for that period.

Under the current system, an employee who is temporarily unable to work receives wage compensation from their employer during the first 14 days of sick leave. This compensation is based on 60 per cent of adjusted average earnings and applies to working days or scheduled shifts.

Responsibility shifts to the state sickness insurance system, which pays sickness benefits, on the 15th calendar day.

The new proposal would restore a waiting period at the beginning of that process. The first three days of illness would no longer be compensated, and payments would begin afterwards.

The details have yet to be finalised. Sports Minister Boris Šťastný of the Motorists is reportedly expected to put forward the proposal. Mr Juchelka stated that the government would need to see precise wording first.

Speaking on Czech Television's Poledne s Moravcem programme, Mr Juchelka said, "We'll see what the proposal looks like, but the idea isn't bad. Employers are calling for it."

According to Finance Ministry estimates, Czech employers will spend between CZK 8.5 billion and CZK 9 billion this year compensating employees for the first three days of sickness alone. As employers, not the state, currently cover these days, Mr Juchelka said removing the payments would not directly create savings for the state budget.

In addition, employers have reportedly highlighted the rising use of sick leave. A 2023 analysis by the Association of Small and Medium-Sized Enterprises and Crafts found that the number of cases increased by 88 per cent between 2019 and 2022.

The association linked part of that increase to the abolition of the waiting period, while acknowledging that pandemic-related health problems may also have contributed.

Josef Středula - head of the ČMKOS umbrella union organisation - reportedly called restoring the waiting period "a step backward", arguing that workers should not be financially penalised for becoming sick.

"If we want people to return to work healthy and able to perform at their best, we must allow them to actually recover when they are sick, rather than forcing them to go to work while they are sick," he said.

Source: Expats.cz

(Link and quotes via original reporting)

In Czechia, a proposal gaining support within the governing coalition could see workers receiving no pay for the first three days they are off sick, Expats.cz reports.

Aleš Juchelka, Labour and Social Affairs Minister, said he was open to restoring the country's former “karenční doba” three-day waiting period. The Motorists party intends to submit legislation to bring it back.

The move would reportedly reverse rules in place since July 2019, under which employees receive reduced wage compensation from their employer beginning with the first working day of an officially recognised illness.

If the former system is restored in its previous form, there will be significant implications for employees. Someone who falls ill and stays home for three days could receive no pay for that period.

Under the current system, an employee who is temporarily unable to work receives wage compensation from their employer during the first 14 days of sick leave. This compensation is based on 60 per cent of adjusted average earnings and applies to working days or scheduled shifts.

Responsibility shifts to the state sickness insurance system, which pays sickness benefits, on the 15th calendar day.

The new proposal would restore a waiting period at the beginning of that process. The first three days of illness would no longer be compensated, and payments would begin afterwards.

The details have yet to be finalised. Sports Minister Boris Šťastný of the Motorists is reportedly expected to put forward the proposal. Mr Juchelka stated that the government would need to see precise wording first.

Speaking on Czech Television's Poledne s Moravcem programme, Mr Juchelka said, "We'll see what the proposal looks like, but the idea isn't bad. Employers are calling for it."

According to Finance Ministry estimates, Czech employers will spend between CZK 8.5 billion and CZK 9 billion this year compensating employees for the first three days of sickness alone. As employers, not the state, currently cover these days, Mr Juchelka said removing the payments would not directly create savings for the state budget.

In addition, employers have reportedly highlighted the rising use of sick leave. A 2023 analysis by the Association of Small and Medium-Sized Enterprises and Crafts found that the number of cases increased by 88 per cent between 2019 and 2022.

The association linked part of that increase to the abolition of the waiting period, while acknowledging that pandemic-related health problems may also have contributed.

Josef Středula - head of the ČMKOS umbrella union organisation - reportedly called restoring the waiting period "a step backward", arguing that workers should not be financially penalised for becoming sick.

"If we want people to return to work healthy and able to perform at their best, we must allow them to actually recover when they are sick, rather than forcing them to go to work while they are sick," he said.

Source: Expats.cz

(Link and quotes via original reporting)